Economist Faruk Hadzic commented on the current inflation rates in the Federation of Bosnia and Herzegovina (FBiH) and indicated what citizens can expect when it comes to inflation.
He pointed out that statistical data on prices in January show that there was additional growth compared to December.
Hadzic noted that this is contrary to the claims of certain economists who said that at the beginning of this said there would be a reduction in prices, especially, as he stated, of food. He emphasized that it was in this segment that there was an additional increase in prices and reminded that citizens spend the largest part of their income on food products.
“The data for January show the following values: The consumer price index is 14.7 percent (annual inflation) and 24.5 percent (inflation compared to the base period). The food price index is 22.0 percent (annual inflation) and 42.5 percent (inflation compared to the base period),” Hadzic pointed out.
According to him, a decrease in the annual inflation rate can be expected, but this does not mean that the prices of all products will return to their previous level, but that the price growth will continue to be slower compared to the previous year.
“If you think that you will pay cheaper for hairdressing services or pastries in the bakery and that the prices will return to the level from the beginning of the (COVID-19) pandemic, that will not happen,” he adds.
He pointed out that slower price growth means we have “statistically” beaten inflation, Klix.ba reports.
E.Dz.
